Raspberry Pi, a British computing startup, saw a 39% increase in shares at its market debut as it seeks to raise £166 million from its initial public offering. The company, known for its tiny single-board computers, began “conditional dealing” on Tuesday with full open trading set to start on Friday. Shares were priced at 280 pence each and rose to 390 pence following the listing. This successful IPO is considered a rare win for London’s main stock exchange, which has struggled to attract technology listings. At the initial pricing, the company was valued at around £541.6 million.
The Raspberry Pi offering includes 45.9 million ordinary shares sold by the company’s majority shareholder, Raspberry Pi Mid Co Limited, a subsidiary of the Raspberry Pi Foundation. Additionally, 2.13 million ordinary shares are being sold by other shareholders, along with 11.23 million newly issued shares. An overallotement option allows for an additional 4.6 million shares to be issued if there is more demand. If exercised, the final offer size could reach £178.9 million. The company’s CEO, Eben Upton, founded Raspberry Pi in 2012 with a mission to make computing more accessible to young people. Despite initially targeting hobbyists, 72% of its unit sales now cater to the industrial market.
In 2023, Raspberry Pi reported revenues of $265.8 million, marking a 41% increase from the previous year. The company’s single board computers have found applications in various industries, including factories. Major industry players, such as Arm and Sony, have backed Raspberry Pi. Sony Semiconductor Solutions, a subsidiary of Sony Corporation, made an undisclosed investment in the company last year. Though relatively small compared to other tech giants, the Raspberry Pi IPO could inject fresh life into London’s struggling stock exchange. The city has recently seen tech firms choose alternate locations, like the U.S., for their listings. Arm, a chip designer owned by Softbank and headquartered in the UK, notably opted for a U.S. listing last year.
